Overview

Activity in America's housing market dropped again last month but prices stopped falling, according to the National Association of Realtors. Sales of existing homes fell by 3.8% in June and were 11.4% below their level a year earlier. The stock of homes for sale fell by 4.2% in the month leaving a backlog of 8.8 months' worth of sales on the market. The median home price rose by 0.3% in the year to June, the first increase for 11 months.

Britain's GDP rose by 0.8% in the second quarter, leaving it up 3% compared with a year earlier.

New orders for industrial goods in the euro area rose by 1.7% in May, leaving them 9.1% higher than in May 2006.

South Korea's GDP rose by 1.7% in the second quarter, according to the central bank's initial estimate, leaving it 4.9% higher than a year earlier.

Consumer prices in Australia rose by 2.1% in the year to the second quarter. The news increased the chances that the central bank will raise interest rates after its meeting on August 8th.

In South Africa, consumer prices rose by 7% in the year to June. Excluding mortgage-interest payments, prices rose by 6.4%, the same rate as in May, keeping targeted inflation above the central bank's 3-6% range.

Poland's central bank kept its benchmark interest rate at 4.5% on July 25th.